We have a number of SFHs, and tend to do extensive renovations to these homes prior to renting. Due to our social network knowing about what we do and how we handle our rental business- We get approached to help others (friends, coworkers, etc.) with projects ( bathrooms, kitchens, smaller remodels, etc.). Is this a natural progression in the business, or something that should be kept separated? Has anyone done this and can shed some light on pain points?
I'm still working on my first rental, but I've been in construction my whole life. I would be cautious when treading into the home remodeling business. Perhaps you have already considered some of these items.
When doing a rental, for the most part, you are the client, and renters won't be a picky as homeowners. Also, you have control of the process: you decide on the products you're installing.
When you are running a home remodeling business, you need to account for the homeowners time to make decisions into your schedule. You have to deal with decisions changing. You also need to be ready for the punchlist items at the end.
It's not necessarily a bad thing. Having a remodeling business can add to your income and help facilitate your real estate investing.
But factor in the differences between finishing a rental project vs a remodeling project for someone else.
If you have the bandwidth on your time to manage it, then I say go for it.
Congrats on your success so far! You're obviously doing something right!
Thanks, Mark! This is good advice. I should probably add, my wife (who runs most of the projects) would be handling this arm of the business. Also, I wish tenants weren't picky- you would be surprised by the request we get...
Sounds like you have a good plan. Good luck with everything moving forward.